I am no accountant, but would think if you have not lodged a tax return during this period and the wrap has fallen thru, then you could/should probably just treat it as a rental property – claiming interest, legal fees for eviction etc against the ‘rent’.

Can you let us know how the eviction goes? – Good luck,

Terryw
Discover Home Loans
North…[Read more]

Hi Simon

In NSW, stamp duty is payable within 3 months of contract exchange with wraps. So I don’t know how they got away with it.

The mortgage insurer that i used was PMI, and it was more than a year ago now – maybe 2, so maybe their policy has changed.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Have a look at the API magazine, there are a few advertising in there. I think ‘spotters’ are different to buyers agents. Spotters just find a property, buyers agents are usually licenced real estate agents and can find, and negoitate on a property for you – hopefully saving you the time and hassle and saving you more than their…[Read more]

I’ve done some lease options, but let a real estate agent do all that for me.

In the end, I beleive that they way I did it (just like the examples in Steve’s books) was not worth it. For only a very small return I ended up giving away too much to the option holder.

If you are going to lease option, then i suggest you go for a short option term…[Read more]

I don’t see how that could have happened.

With a wrap, the title stays in the wrappers name. So it owuld have been in the retiree’s name. So the client – the wrappe- would not have been able to secure a loan against this property. Unless they tricked the owner into offering a guarrantee etc. – In such a case, this oculd happen to anyone, and the…[Read more]

Hangon Freedomfinder. There are some changed coming in October. ING will be 60% max wihtout LMI and probably other banks will be following as well. This is due to some sort of new APRA requirements

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

A few years ago I refinanced a wrap client out and had no problems. A month later I went to the same bank and it was a different story. The LMI people would not consider a ‘wrap’ to be a genuine purchase as of the date of the cotnract – 2 years earlier. So despite the property having grown considerably, they would only take the contract price and…[Read more]

The ATO looks at the purpose of use to determine deductibility. So with just increasing your loan – what will you do with the money? If it is to buy a new home to live in, then you cannot claim the extra interest.

With Steven’s idea, it may be OK if you can argue that you drew down the extra money with the intention of buying a new property in…[Read more]

Some will charge a percentage of the price – around 2%. And some will be paid a commission from the real estate agent selling the property which they rebate against what you pay.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Just get your sales licence – training should take about 5 days and your away (if you can find a job that is@!). Once you are working if may be wise to consider studying for your full licence, so once you have 2 years experience you can open your own agency. (I have heard you don’t even need the experience now in NSW).

Terryw
Discover Home…[Read more]

Hey are you trying to talk up the market to increase your capital gains!!

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Wayne. Yes it starts when you move out and then if you move back in and move out again it restarts! But you can only have one PPOR at one time. So if you are renting now while renting out you other house which was your PPOR, then you may want to consider moving back for a short time in before 6 years is up.

Have a look at Tax Determination…[Read more]

Yeah, it restarts again if you move back in, and as Monopoly said, you can only have one PPOR at a time.

Here is an example from TD 95/9 :

Gary works for the Department of Foreign Affairs and Trade and is posted overseas for a period of 4 years. While he is overseas, his post-CGT SPR is rented. On return to Australia, Gary resumes residence in…[Read more]

You can keep your family home and rent it out and still claim it as your main home for a period of 6 years. If you sell within 6 years, it will be tax free (you can only claim one home as your main residence). So if you rent it will be good, you can claim all your expenses etc but if you are buying a new home this won’t work.

Refinancing or just…[Read more]

Peter Spann’s new one is good:
“How to buy $10 mil worth of property in 10 years”

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

It would be very hard to get finance for. The bank could not lend on the lend as this would be owned by the caravan park and leased.

You may get some finance on the strucuture, but i beleive it would generally be treated like a personal loan.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

Freedomfinder

You could try low docs that are not mortgage insured such as:
Suncorp – 80% LVR soon to change i beleive
ING – 76% LVR
Adelaide Bank – 76% LVR
ANZ 60% LVR etc

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au

I agree that it is generally best to avoid, but if you do have to cross, then you can uncross after some growth without too much fuss.

Also, banks will and do foreclose! They aren’t in the business of selling real estate, but they will do this if you stop paying. It will be up to you to find an alternative lender who could refinance…[Read more]

I think this should be fine. If you are borrowing for things related to investments/business then the interest on these borrowings should be deductible. I agree with this stategy, for example, if you had to pay $300 in insurance you should borrow the money from your LOC and then put the $300 you would have used off your home loan.

BTW, I have…[Read more]

Take them to the administrative appeals tribunal, you could get awarded that they owe you money, you then put it in the hands of a debt collector – for a small percentage they will chase them and collect for you.

Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.au